Maintain attendance records, payroll management and salary distribution, advanced paid records, overtime and bonuses, among others, can be a tedious process if done manually in books or Excel sheets.
For companies and startups, with the technology at their disposal, these processes are made very efficient.
However, with the low penetration of digitization and the unavailability of employment and payroll data among small and medium enterprises (SME) and blue and gray collar workers, they find it difficult to avail themselves of essential financial products such as loans and insurance.
To overcome these problems faced by SMEs, two 29-year-old college friends and graduates of IIT Roorkee – Nikhil Goel and Peeyush Goyal – builtin 2020.
Headquarters in Gurugram, SalaryBox brings the interrupted process of keeping attendance records, calculating salary, managing compliance and processing salary payments into one application.
Available to Android users today, all of these processes can be done with minimal user intervention. The startup plans to launch its app on iOS shortly.
Nikhil says of SalaryBox SaaS mobile first solution automatically calculates salaries for different salary categories after factoring in attendance, time off, allowances, overtime, and payday advances, making it simple and convenient for millions of SMBs.
Screenshot of the SalaryBox application
In addition, blue and gray collars can mark their attendance, check their attendance history, view salary records and download payslips, creating a digital footprint they can use to qualify for loans and insurance products.
However, the app does not yet support payments. Nikhil says: “Links with banks for financial services and the ability to pay salaries through the app are ongoing. We are working on it. “
Before launching SalaryBox, Nikhil worked with startups like Indifi and Practo. Peeyush – who made his masters Carnegie Mellon University – had already worked with LeadGenius and Helpshift.
With a team of seven members, Peeyush (CPO and co-founder) manages the product and engineering verticals, while Nikhil (CEO and co-founder) takes care of other business functions.
Co-founders of SalaryBox (L: R) Nikhil Goel, Peeyush Goyal
Funding and income
While the startup declined to share its revenue figures, it said its immediate source of income is its SaaS subscription model. Right now, the app has over a lakh of downloads on the Play Store.
“We recently launched the paid plan and charge Rs 2,000 per year per SME. In the future, our possible source of income could be the sale of financial services such as payday advances and insurance for blue collar workers, ”Peeyush shares.
With over 45,000 registered companies, SalaryBox had lifted an undisclosed screening round in May 2021.
The tour was led by GSF accelerator as well as renowned angel investors, including Alok Mittal (CEO, Indifi); Amit Ranjan (ex-co-founder, SlideShare); Sumit jain (Co-founder, CommonFloor), and Overrun Kuila (Co-founder, Zopper).
Image credits: YS Design Team
The future to come
According to IBEF, India has more than 63 million SMEs and more than 300 million blue collar workers. In fact, there are almost 400 registered SMEs around the world.
Going forward, Peeyush says they plan to provide financial infrastructure to SMEs and their workforce. The co-founders plan to expand the following activities:
1. Payroll advances and insurance
The startup Gurugram aims to partner with financial institutions to make salary advances available on its app. Additionally, employee profile data collected on the app will be valuable in delivering personalized insurance products to employees, says Peeyush.
2. Credit score provider
Based on an employee’s payday advance repayment behavior and other employment-related data collected on the app, the startup plans to become a credit score provider for underwriters while facilitating reimbursements by automatically deducting the reimbursement amount from an employee’s salary.
3. Professional identity
Several SMEs do background checks on new hires and store KYC documents for compliance. Peeyush says the app will allow employees and businesses to store documents directly on the SalaryBox platform.
It also plans to allow employees to use the app to verify their identity and employment history with potential employers.
SalaryBox competes with players like Pagarbook, Khatabook and OKCredit, among others.